Blockchain-based social network DSCVR bags $9Mn to build DeSo platform

Blockchain-based social network DSCVR bags $9Mn to build DeSo platform

DSCVR, an online social network based on the blockchain which is built on Internet Computer protocol by Dfinity, has recently raised $9 million in seed financing from Polychain Capital, with plans to use these funds to develop a scaled DeSo (Decentralized Social) platform.

According to the company, the funding round included participants like Shima Capital, Fyrfly Venture Partners, Tomahawk VC, Upfront Ventures, and BDMI (Bertelsmann Digital Media Investments).

For those unaware, DSCVR runs token-gated communities ‘referred to as portals’, where users are required to possess a certain NFT in order to participate.

Rick Porter, Co-founder and CEO of DSCVR, says that communities deploy airdrops of digital content to DSCVR users to promote NFT activities and generate buzz. DSCVR has added over 100,000 users and through its airdrop incentive system has earned millions of dollars in NFT awards for those users.

He said that the intention to create a link between Web 2.0 and Web 3 distinguishes it from other DeSo platforms.

It is imperative to note that there have been disputes inside the Internet computer ecosystem. According to a class action lawsuit filed against Dfinity, the company illegally sold its coins as unregistered securities. Polychain and a16z were also classified as defendants in the case as they were early backers of Dfinity.

In fact, Porter claims that people need actual humans, not bots, to distribute their Non-Financially Transferable Flow (NFT) products. As a result, they serve as an NFT distribution route, enabling companies to drop 1,000 entities to their top users out of a 10,000 entity collection.

Plenty of startups and companies are racing to build a network that provides utility for its users. For example, Ex-Coinbase member Dan Romero has earlier received $30 million funding from a16z to create Farcaster. Users can switch between various applications using this DeSo protocol to access their social identity.

Meanwhile, seed-stage company, Primitives received $4 million to build its own Solana-based DeSo network.

Source Credit: https://techcrunch.com/2022/07/25/the-race-to-build-a-social-media-platform-on-the-blockchain/